So, the $AVAX community is growing quickly, and there are lots of exciting airdrops. Let’s talk a little bit about airdrop etiquette.
Last week, the @Baguette_avax team began airdropping its native token, $BAG, to validators and delegators securing the Avalanche network. They gave around $750 to each validator and delegator, and it cost only $800 to be eligible.

Yesterday, @AvalaunchApp followed suit, announcing that it will be airdropping 2,000,000 of its token, $XAVA, to the Avalanche staking community.

It is excellent to see such rewards distributed to the 900+ full block-producing validators, and 9000+ delegators that are a core part of the Avalanche ecosystem. These are the people who provide security and decentralization to the network.
Thanks to $AVAX validators and delegators, Avalanche has already achieved what many other projects constantly talk about, but fail to materialize. These are dedicated individuals providing a benefit for everyone in the community, and deserving parties for airdrops.
I suspect many other projects will follow this approach and employ the novel airdrop mechanism described here: baguette-avax.medium.com/how-to-claim-y…
Airdrops are kind of like free product samples: a show of good will. Because the space is growing so fast, however, they can end up being quite valuable.
It’s no secret that the first impulse for many airdrop recipients is to sell the “free coins.” But this directly contradicts the premise of airdrops, and I think it’s a bit gauche.
Yes, it’s free money and the recipients can do whatever they like. But they should attempt to use the free coins for their intended purpose, and check out the system that delivered the airdrop. It’s the least a recipient can do to reward creators’ hard work.
This is in no way investment advice, but early sellers also entirely miss the future potential of new applications. People often line up for hours to get access to early tokens, so airdrops are an amazing, valuable gift that should not be squandered.
Overall, Avalanche grows stronger by interconnecting its Dapps and having users interact with as many as possible. Airdrops are a great motivator for forging such connections.
So let’s continue to build cool stuff and distribute coins all around, knowing that the recipients will use these coins to build better connections.

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More from @el33th4xor

3 May
Someone put in a market sell order for 500,000 $AVAX this morning, $16mm worth, all at once. The open question is, was this a "bear raid," where someone opens a leveraged short position and then dumps to profit, or was it a "fat finger"?
Having spent 10 minutes looking around, the math behind a bear raid doesnt' actually work out. Running a trade of shorting on futures and dumping on spot would not have been profitable given $AVAX's liquidity on spot and futures.
So, the evidence points to a "fat finger," where someone put in an extra zero by mistake.
Read 5 tweets
22 Apr
Two weeks ago, @PangolinDEX became the first Avalanche project to surpass $1B in trading volume. Let’s talk about Pangolin, AMMs, community-driven projects and their pros and cons.
Overall, Pangolin is unique because it offers:

- Fully decentralized, non-custodial trades
- Super cheap fees
- Real-time execution, near-instant finality
- No miners front-running orders
- A 100% community-driven project
Low latency and fair trade execution applies for any AMMs that have launched on Avalanche, of course. These AMMs include @SushiSwap, @officialzerodex, @ComplusNetwork, and @YetiSwap.
Read 14 tweets
7 Apr
FEI dropped down to $0.136. In the process, it should have taught everyone a few lessons about stablecoin design and, perhaps, crypto investing.

A thread.
FEI/TRIBE was a two-coin algorithmic stablecoin, with a twist. The twist was flawed from the start and it should have been possible to predict that this idea would not work.
In a typical two-coin algorithmic stablecoin, you have one coin, $FEI, trying to maintain the peg, while the other one is used absorb the volatility. We wrote about this structure in our stablecoin taxonomy paper.

arxiv.org/abs/1910.10098
Read 20 tweets
2 Apr
Avalanche surpassed one million total transactions on its smart contract chain, with the vast majority in just the last 7 weeks.

In honor of this milestone, here some thoughts on why I’m bullish on Avalanche and how it is becoming the most advanced public-goods layer-1.
First and foremost, for all its flaws and quirks, the Ethereum Virtual Machine is the dominant engine in DeFi. If a project does not natively support the EVM, I do not see it as being a strong competitor in the layer-1 space.
From the moment Avalanche’s mainnet launched, the platform has supported the entirety of Ethereum’s smart contracting and tooling. No phases, years-away upgrades, or additional layers and complexity. Just feature completeness for what the market demands.
Read 28 tweets
17 Mar
The Avalanche C-Chain is continuing to burn $AVAX at a fairly rapid clip, having crossed the $1m line recently. It's a good time to reflect on the underlying dynamic. (Thread)
A lot of the burn is attributable to DEXes, including @pangolindex, @SushiSwap and @Zer0Dex. These DEXes share a common feature: they constantly offer to buy and sell assets using the Uniswap equation. They are censorship free, and make a market for any asset.
By construction, these DEXes operate constantly provide arbitrage opportunities as prices move. Their bid/ask prices are modified continuously, by anyone, to reflect the market consensus on the price of the assets.

These updates all consume $AVAX as gas.
Read 7 tweets
19 Feb
Today’s #FreeLoveFriday is about a topic that has been seeing a lot of discussion recently. Namely, I want to talk about Non-Fungible Tokens (NFTs) in general, and to make it specific, I’ll focus on CryptoKitties.

First of all, there is the impression that NFTs were invented on Ethereum and that the Bitcoin community is just now getting in on the NFT game. This is not actually how it happened.
The very first NFTs were invented and issued on Bitcoin, by layering them on top of Bitcoin transactions. Among the most notable were NFTs centered around Pepe The Frog. I will leave dissecting the social aspect of Rare Pepes alone and focus on the technical side of NFTs.
Read 23 tweets

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